Cathie Wood predicts the Trump administration will actively purchase 1 million bitcoins, igniting a scarcity battle within the US bureaucratic system and digital asset markets
(Background: Trump signs bill “US withdraws from 66 international organizations”: including the UNFCCC climate change framework, ESG laws challenged)
(Additional context: JPMorgan: Crypto market sell-off nearing its end, Bitcoin shows signs of bottoming out)

Table of Contents

• The political chips of 1 million BTC
• White House vs bureaucratic system power struggle
• Scarcity game expands to the sovereign level
• Roadmap for the next two years

As President Trump enters the second year of his second term, midterm election pressures are imminent. Industry heavyweight Cathie Wood made a key prediction on January 8: the White House may no longer merely passively hold seized Bitcoin (Bitcoin), but will officially initiate open market purchases, with a target total of up to 1 million coins. If true, the US government will transform from the “ultimate regulator” into the world’s largest Bitcoin holder, reshaping political and financial landscapes.

The political chips of 1 million BTC

Wood emphasized on the Bitcoin Brainstorm program that if Trump wants to avoid the “lame duck” predicament, he must deliver tangible results to the crypto community. She pointed out that the US is evaluating the establishment of a “Strategic Bitcoin Reserve” (Strategic Bitcoin Reserve), with an ultimate stockpile set at 1 million coins, but currently only about 200,000 have been confiscated through the Department of Justice, leaving a gap of 800,000. Wood directly stated:

“The original intention was to have 1 million, so I believe they will really start buying.”

For Trump, crypto voters contributed key votes in the 2024 election. Advancing the purchase plan before the midterms could solidify his political base.

White House vs bureaucratic system power struggle

Policy implementation has not gone smoothly. Trump signed Executive Order No. 14233 in March 2025, defining seized Bitcoin as a strategic asset and banning sales. However, law enforcement agencies have shown signs of “automatic disregard.” According to Bitcoin Magazine, the Southern District of New York federal prosecutors and the Marshals recently liquidated 57.55 bitcoins from the Samourai Wallet case, directly violating the presidential order. This highlights friction between the White House’s will and the judicial system, and suggests that if active purchasing is to be promoted, Trump must first strengthen administrative discipline.

Scarcity game expands to the sovereign level

Once the US government officially enters the market, the structure of the Bitcoin market will be rewritten. Wood pointed out that the capital flow previously dominated by large corporate MicroStrategy, holding 670,000 coins, would need to be supplemented by at least 800,000 coins from sovereign investors, significantly increasing scarcity. To support this strategy, the White House is evaluating proposals led by David Sacks, including pushing for capital gains tax exemptions on small crypto transactions. At the state level, responses are emerging; Republican-led legislatures in Florida and other states are promoting state-level SBRs, applying “local encirclement of the central government” to pressure Washington.

However, incumbent Treasury Secretary Scott Bessent remains conservative, emphasizing “no open market operations.” Wood’s prediction indicates this defense line is shaking, and policy tilt toward active purchase may be imminent.

Roadmap for the next two years

If the Trump administration officially initiates Bitcoin purchases, it will add a new buffer to the dollar system. For other countries, facing the US’s advanced deployment of digital gold, reserve diversification will inevitably become a new focus of diplomatic and financial decision-making. As the “US ship” engine is replaced, the world may usher in a digital asset reserve arms race, casting long-term variables on the international financial order after 2026.